braeburn terrace - 12 units

8/16/2019 Braeburn Terrace - 12 Units

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CONFIDENTIALITY & DISCLAIMER

The information contained herein is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it by Winhill Advisors and should not be made available to any other person

or entity without the written consent of Winhill Advisors. This information has been supplied by the owner of the property or from other sources we deem to be reliable and accurate; however Winhill

Advisors has not verified, and will not verify, any of the Information contained herein, nor has Winhill Advisors conducted any investigation regarding these matters and makes no warranty or representation

whatsoever regarding the accuracy or completeness of the information provided. Prospects are advised to do their own independent evaluation, inspections and due diligence and carefully verify all

information contained herein. This information is subject to change without notice. This offering is made subject to change price, prior sale or removal from market without notice. By accepting the

information contained herein, the recipient agrees that the enclosed materials are of a highly confidential nature and will be held and treated in the strictest confidence and the recipient will not contact

employees, tenants or principles of the property directly or indirectly without the prior written authorization from Winhill Advisors.

For more information please contact:

Mark Dimas

Broker

[email protected]

Braeburn Terrace –

12 Units10101 S Gessner Dr. Houston, TX 77071

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• 12 individual condominium units out of a total 140 unit complex

are offered for sale.

• Property is located in the city limits of Houston, Texas right off

Hwy 59 South and South Gessner Rd in the Southwest area of

Houston, just minutes from Downtown, Sam Houston Toll Way

and The Galleria.

• The property features 3-story brick and wood sided buildings,controlled gate access, swimming pool and covered concrete

parking.

• The units are currently 100% occupied. 2 –bed units are

approximately 1083 RSF. All units have been remodeled with tile

flooring.

• All units include a refrigerator and most also come with a washer

and dryer. The tenants also pay their own electricity. The home

owners association provides garbage disposal & pick-up service,

water, sewer, grounds upkeep and exterior building insurance.

• These units provide a great potential for future buyers.

• The seller is willing to stay on for at least three months to help

the new owner manage through the transition.

• Buyer’s will need to acquiring third party financing.

• Sold at an estimated 10.8% ProForma cap rate.

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the

accuracy of the information. Reference to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies.

Investment Highlights

Investment Overview

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Investment Location



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Exterior Community Snapshot



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Interior Snapshot



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Interior Snapshot 2



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Interior Snapshot 3



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Financial Overview – Self Managed



8* For projection purposes to calculate a cash on cash return scenario. Actual down payment may vary depending on lender underwriting guidelines

*

*

Scheduled Income

Bedrooms Number Average Rent Proforma Rent

1 Bed Room 1 Bath 8 $563 $650

2 Bed Room 1 Bath 4 $706 $800

Summary

Year Built 1983

Improved Lot Sqft 0

Units 12

2 Bedroom (apprx 956 sf) 4


Water/Sewer HOA

Trash HOA

Heating/Cooling Central Units

Parking 1 Covered Concrete

Management Off-Site

Utilities Pai d Water, Sewer, Trash

Exterior Construction Brick/Wood

Current Occupancy 1

Financial Summary

Current ProForma

Income

SGI $87,900 $100,800

Total Operating Income $87,900 $100,800

Expense

HOA $37,410 $37,410

Land Taxes $9,010 $9,010

Repairs/Maintenance $6,322 $5,000

Lawn Service HOA HOA Trash Service HOA HOA

Water/Sewer HOA HOA

Common Area Elec. HOA HOA

Total Expense $52,742 $51,420

Net Operating Income $35,158 $49,380

First Trust Deed/Mortgage ($23,758) ($23,758)

Pre-Tax Cash Flow $11,399 $25,621

Principle Reduction $8,810 $8,810

Investment

Price: $400,000

Current Cap Rate: 8.79

Current Cash on Cash: 11.40Pro Forma Cap Rate: 12.34

Pro Forma Cash on Cash: 25.62

Down Payment: $100,000

Buyer to Procure a new first lien of: $300,000

For Projection Purposes:

Down Payment (by %) 25%

Amoritization Period (by year) 20

Interest Rate (by %) 5%


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Financial Overview – Professionally Managed



9* For projection purposes to calculate a cash on cash return scenario. Actual down payment may vary depending on lender underwriting guidelines

*

*

Scheduled Income

Bedrooms Number Average Rent Proforma Rent

1 Bed Room 1 Bath 8 $563 $650

2 Bed Room 1 Bath 4 $706 $800

Financial Summary

Current ProFormaIncome

SGI $87,900 $100,800

Total Operating Income $87,900 $100,800

Expense

HOA $37,410 $37,410

Land Taxes $9,010 $9,010

Repairs/Maintenance $6,322 $5,000

Management Fees $6,000 $6,000

Lawn Service HOA HOA Trash Service HOA HOA

Water/Sewer HOA HOA

Common Area Elec. HOA HOA

Total Expense $58,742 $57,420

Net Operating Income $29,158 $43,380

First Trust Deed/Mortgage ($23,758) ($23,758)

Pre-Tax Cash Flow $5,399 $19,621

Principle Reduction $8,810 $8,810

Summary

Year Built 1983

Improved Lot Sqft 0

Units 12



Water/Sewer HOA

Trash HOA

Heating/Cooling Central Units

Parking 1 Covered Concrete

Management Off-Site

Utilities Pai d Water, Sewer, Trash

Exterior Construction Brick/Wood

Current Occupancy 1

Investment

Price: $400,000

Current Cap Rate: 7.29

Current Cash on Cash: 5.40Pro Forma Cap Rate: 10.84

Pro Forma Cash on Cash: 19.62

Down Payment: $100,000

Buyer to Procure a new first l ien of: $300,000

For Projection Purposes:

Down Payment (by %) 25%

Amoritization Period (by year) 20

Interest Rate (by %) 5%


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Current Rent Roll as of July 24,2015



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Unit Rent Amount Lease Current Lease End Building # Bed Bath

203 $600.00 Month to Month 2/28/2015 2 1 1

105 $525.00 Month to Month 4/30/2013 1 1 1

703 $600.00 Month to Month 9/30/2015 7 1 1

709 $550.00 Yes 6/30/2016 7 1 1

707 $550.00 Yes 1/30/2016 7 1 1

706 $525.00 Month to Month 5/30/2014 7 1 1

705 $600.00 Yes 12/30/2016 7 1 1

713 $550.00 Month to Month 2/28/2013 7 1 1

408 $700.00 Month to Month 1/30/2015 4 2 1

313 $700.00 Month to Month 11/30/2014 3 2 1

412 $625.00 Yes 1/30/2016 4 2 1

807 $800.00 Yes 8/30/2016 8 2 1

Rent Roll Current as of July 24, 2015


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Income and Expense - Actual and Pro Forma



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Type Units Average Price Monthly Income Yearly Income

1 Bed Room 1 Bath 8 $563 $4,500 $54,000

2 Bed Room 1 Bath 4 $706 $2,825 $33,900

TOTAL 12 $1,269 $7,325 $87,900

Type Monthly Expense Yearly ExpenseHOA $3,118 $37,410

Land Taxes $751 $9,010

Repair/Mainenance $527 $6,322

Management Fees $500 $6,000

Insurance HOA HOA

Trash HOA HOA

Water/Sewer HOA HOA

Lawn Service HOA HOA

Common Area Electric HOA HOA

Total$4,895 $58,742

CURRENT—NET OPERATING INCOME Monthly Income Yearly Income

Total $2,430 $29,158

Actual Income

Actual Expenses

Type Units Average Price Monthly Income Yearly Income

1 Bed Room 1 Bath 8 $650 $5,200 $62,400

2 Bed Room 1 Bath 4 $800 $3,200 $38,400

TOTAL 12 $1,450 $8,400 $100,800

Type Monthly Expense Yearly ExpenseHOA $3,118 $37,410

Land Taxes $751 $9,010

Repair/Mainenance $417 $5,000

Management Fees $500 $6,000

Insurance HOA HOA

Trash HOA HOA

Water/Sewer HOA HOA

Lawn Service HOA HOA

Common Area Electric HOA HOA

Total $4,785 $57,420CURRENT—NET OPERATING INCOME Monthly Income Yearly Income

Total $3,615 $43,380

ProForma Income

ProForma Expenses


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Information About Brokerage Services



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• Is there any owner financing available?

– No, the buyer will need third party financing or cash for the transaction

• Are all these units in the same complex?

– Yes

• Is this sale for the entire complex?

– No, these are 12 individual condominium units within the apartment complex that are for sale

• Why isn’t the whole 140 unit apartment complex for sale?

– This is a condominium complex and seller only owns 12 units

• What does the tenant pay for?

– Electricity

• What does the landlord pay for?

– HOA which covers - water, trash, common area, pool, roof, exterior maintenance, paint, siding, and property insurance

– Appliances, A/C and heating

• Is the seller managing these 12 units?

– No, the seller uses a third party property manager to handle the management

• I am interested in the property, can I make an appointment to schedule a walkthrough of the units?

– We would need a bona fide contract to schedule a walkthrough out of respect for the tenants. Once a contract is in place, there will be ample amount oftime to inspect each unit

• Can you send the 2 year P&L for the 12 units?

– Yes, with a bona fide contract

Frequently Asked Questions


accuracy of the information Reference to square footage or age are approximate Buyer must verify the information and bears all risk for any inaccuracies

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braeburn terrace - 12 units

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